<abstract xmlns="http://www.w3.org/1999/xhtml"><p>Recently, there has been observed intensified research on the impact of income inequalities on aspects of socio-economic development in the European Union. However, there are no comprehensive analyses concerning the relationship between these phenomena. Therefore the subject of the paper is the influence of income inequalities on socio-economic development. The author would like to verify the hypothesis that the character of the impact of income inequalities on socio-economic development in the European Union is negative. Analysis was conducted for the European Union in 2004-2017 using the panel data model, also estimated was the synthetic indicator of socio-economic development. The research conducted in the paper leads to ambiguous conclusions. On the one hand, inequalities measured for the whole distribution of income have no influence on socio-economic development in the European Union. However, the income gap between the richest and the poorest hinders the mentioned phenomenon.</p></abstract>

Recently, there has been observed intensified research on the impact of income inequalities on aspects of socio-economic development in the European Union. However, there are no comprehensive analyses concerning the relationship between these phenomena. Therefore the subject of the paper is the influence of income inequalities on socio-economic development. The author would like to verify the hypothesis that the character of the impact of income inequalities on socio-economic development in the European Union is negative. Analysis was conducted for the European Union in 2004-2017 using the panel data model, also estimated was the synthetic indicator of socio-economic development. The research conducted in the paper leads to ambiguous conclusions. On the one hand, inequalities measured for the whole distribution of income have no influence on socio-economic development in the European Union. However, the income gap between the richest and the poorest hinders the mentioned phenomenon.

The Influence of Income Inequalities on Socio-Economic Development in the European Union

Poznań University of Economics and Business

Econometrics

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 3.0 License.

Recently, there has been observed intensified research on the impact of income inequalities on aspects of socio-economic development in the European Union....

The Influence of Income Inequalities on Socio-Economic Development in the European Union

Published Online: Mar 28, 2019

Page range: 45 - 60

DOI: https://doi.org/10.15611/eada.2019.1.04

Keywords
income inequalities, socio-economic development, economic growth, panel model, Gini coefficient, S80/S20 ratio

© 2019 Michał Litwiński, published by Sciendo

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 3.0 License.

The Influence of Income Inequalities on Socio-Economic Development in the European Union

Published Online: Mar 28, 2019

Page range: 45 - 60

DOI: https://doi.org/10.15611/eada.2019.1.04

Keywordsincome inequalities, socio-economic development, economic growth, panel model, Gini coefficient, S80/S20 ratio

© 2019 Michał Litwiński, published by Sciendo

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 3.0 License.

Keywords
income inequalities, socio-economic development, economic growth, panel model, Gini coefficient, S80/S20 ratio